Irish online ad spend approaches €100m
Online advertising achieves 10% of total Irish ad spend in 2009
Online advertising expenditure for 2009 reached €97.2 million according to the first IAB Ireland and PricewaterhouseCoopers (PwC) ad spend study.
This strong performance was recorded despite a particularly challenging economic outlook and its devastating effect on the general advertising industry. The total Irish advertising market is estimated to be worth €940 million in 2009.
Results from the online advertising study show the second half of 2009 was stronger than the first, with online advertising increasing by €1.2 million to €49.2 million between July and December. During the first half of 2009 it accounted for €48 million.
The search format’s share of total Irish online adspend at 46.2% mirrors the European market. Irish classified and display formats achieved a 27.2% and 26.6% share respectively.
At 25% the recruitment/property sectors combined are the biggest spenders on online advertising, followed by autos at 20%.
More people online and increased broadband connectivity were key drivers for online ad spend in 2009.
Irish media consumers are also spending more time online, reflecting the growth in streaming media and social networking.
75% of the IAB PwC study participants predicted growth or strong growth for online adspend in 2010.
Suzanne McElligott, Chief Executive of IAB Ireland, said: “2009 was a very challenging year for the Irish advertising industry. Online’s strong performance in this, our benchmark study, provides great confidence for the future growth of our medium.
“The measurability of online campaigns and the opportunity for advertisers to engage online with their target markets are powerful drivers of adspend as brands increase focus on Return on Investment in difficult economic times. “
Bartley O’Connor, Advisory Consulting, PwC, said: “Online in Ireland has overtaken outdoor, magazine and cinema advertising reflecting its move to centre stage.”
“As it continues to grow and develop as a platform for entertainment, information and communication for Irish users, so too will the advertising revenues it will attract.”